The banking sector is stable in Kazakhstan, Trend reports with reference to the National Bank of Kazakhstan.

The banking sector of the country assets amounted to 36.7 trillion tenge ($84.6 billion) as of late 2021.

The second-tier banks have the big equity capital and liquidity to operate constantly and render a full range of banking services for the population and corporate clients.

The equity capital of the banking sector amounted to 4.6 trillion tenge ($10.6 billion). Today, the capital adequacy of banks is by over three times more than the minimum requirements set upon the law.

Highly liquid assets amounted to about 12.3 trillion tenge ($28.4 billion) or 33.4 percent of assets. The current values of liquidity ratios exceed those set upon the law by more than four times.

The National Bank will resume daily operations with the second-tier banks to give and withdraw liquidity, including direct and reverse REPO operations, a deposit auction, the issuance of short-term notes of the National Bank to create an additional reserve of liquidity in the banking sector as part of the implementation of monetary policy.

In case of necessity, a mechanism for emergency liquidity provision through REPO and swap transactions for the period of up to three months on the Kazakhstan Stock Exchange will be used on the monetary market.

So far, there are no risks for bank depositors. The deposits of Kazakh people in banks in accordance with the legislation have been guaranteed by Kazakhstan Deposit Insurance Fund JSC.

Kazakhstan’s government announced late Jan. 4 that it was restoring some price caps on liquefied petroleum gas, after the rare protests reached Almaty following a sharp rise in the price of the fuel at the start of the year.

Many Kazakhs have converted their cars to run on LPG, which is far cheaper than gasoline as a vehicle fuel in Kazakhstan because of price caps. But the government argued that the low price was unsustainable and lifted the caps on Jan. 1.

After the price of the fuel spiked, big demonstrations erupted on Jan. 2 in certain parts of the country. Public protests are illegal in the country unless their organizers file a notice in advance.

Following the development of the situation, the government declared a state of emergency all over the country. Kazakh President Kassym-Jomart Tokayev said the government initiated anti-terrorist operations to deal with the ongoing riots.

Also, the divisions of the united peacekeeping contingent of CSTO (Collective Security Treaty Organization) arrived in Kazakhstan to assist in restoring order and help protect strategic objects of the country.

Source: Trend News Agency